FxWirePro: NZD/JPY edges lower from session highs at 75.92, sees strong resistance at 76 levels

NZD/JPY remains stuck in its multi-week range of 76.84-73.54 although recent signs point to a test of the downside ahead.

• The pair sees strong trendline resistance at 76 levels, has on the day edged lower from session highs at 75.92.
   
• Data on Monday showed that NZ confidence and building consents deteriorated significantly bolstering the case for more RBNZ easing in the upcoming month.
   
• There is scope for RBNZ to ease twice this year, but markets have fully priced in only one cut, making further downside vulnerable.
   
• The pair has broken above 5-DMA at 75.34 but further gains ca be seen only on breaks above 76 levels.
   
• Supports on the downside are aligned at 75.34 (5-DMA), 75.11 (10-DMA) and then 74.45 (double bottom Feb 17th and 25th).